FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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The following data pertains to Western Company’s materials inventory:
Number of pounds required annually 16,000
Cost of placing an order P20
Annual carrying cost per pound of material P4
What is the EOQ?
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- 14. You are given the following Company Information Company LFrom the point of origin Direct materials 120.000Purchases of direct materials 228000Direct labour costs 610000Direct cost initial cost 780000 The stock cost of direct materials is the amount?arrow_forwardPrime cost is 236000 OMR, and cost of production for the year is 298420 OMR Opening stock of work in progress is 12000, and closing stock of Work in progress is 13500 OMR, Opening stock of finished goods is 20000, and closing stock of finished goods is 14000 OMR, Cost of goods manufactured 958000 OMR Calculate unit production cost if total manufacturing units as 2500 a. 121.368 OMR per unit b. 120.368 OMR per unit OC 119.368 OMR per unit O d. None of Thesearrow_forwardI want correct solutionarrow_forward
- Hw.52. The manufacturing concern has the following data available for the month of March 2020:Total manufacturing cost Rs. 10,000Total cost of goods manufactured Rs.15,500Cost of material purchased Rs.3,500Direct Labour Rs.2,100Direct material_ Begining Rs.3,100Direct material Ending Rs.600The amount of FOH must be RS. O a. 1,900 O b. 2,000 O C. 2,900 • d. 2,100arrow_forwardProblem: AAA Company produces and sells Product X: Annual Demand 24,000 units Annual cost to held one unit of inventory P11.52 Order Cost P38.40 Beg. Inventory P 0 a. What is the Economic Order Quantity? b. How much is the total Order Costs? c. How much is the total Carrying Costs?arrow_forwardI. Cost Behavior and Estimation (HP 6) The owners of Mormont Co., Jorah and Lyanna, are expecting sales for August, 2019 to be 250,000 units. Information about Mormont's Sales and costs over the past three months, are as follows: Units Sold Sales Cost of Goods Sold Wage & Salary Expense Admin Expense May O 200,000 300,000 $3,450,000 $5,175,000 $1,575,000 $2,312,500 $950,000 $975,000 $1,300,000 $1,600,000 June July 500,000 $8,625,000 $3,787,500 $1,925,000 $2,500,000 Required: Based on the information provided, provide a projected income statement, using the contribution margin format. 5arrow_forward
- Units in beginning inventory -0-Units produced 8,000Units sold 6,000 Variable costs per unit: Manufacturing $15 Selling and administrative $5 Fixed costs, in total: Manufacturing $24,000 Selling and administrative $16,000 What is the unit product cost under absorption costing?arrow_forwardCase 2Al Ahlia detergent company purchased 4500 units of raw material for annual usage. Thepurchase price per unit RO 100 and annual carrying cost is 15%. The cost of placing an order isRO. 1200. Calculate a. Economic Order Quantityb. No of orders per yearc. Economic Order Frequencyarrow_forward
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